• Rating institutional risks quantitatively to attain optimal allocation of internal AML resources based on need
• Utilizing resources including peer group networks and law enforcement to continuously update knowledge in areas such as crime trends and tech innovations
• Scrutinizing targeted compliance functions for possible outsourcing to quantify potential cost efficiencies and properly assess risks of third-party partnering
• Surveying information need and risk management issues of lines of business to ensure quality data are being captured and applied to relevant monitoring and oversight systems
• Integrating data systems of operational silos and centralizing storage to reduce data duplication, standardize access and oversight protocols and foster AML collaboration across enterprise
• Formalizing data governance systems to spot and resolve systemic deficiencies, monitor data quality and assure data systems incorporate changes in business models or regulations
• Identifying financial access issues for NPOs such as delayed transfers and high fees to develop risk management models for commonly affected products and services
• Building NPO risk profile based on geography, AML proficiency and other factors and exchanging information to attain transparency and just oversight policies as merited
• Conducting ongoing dialogue with relevant stakeholders including examiners, peer groups and NPO networks to develop insights on managing risks, practicing inclusion and meeting regulatory expectations
• Reviewing professional and personal responsibilities to prioritize commitments, enhance time management and focus energies on valued, required and attainable goals
• Communicating clearly with employer and family to clarify expectations of each, set boundaries regarding added duties and jointly resolve conflicts such as scheduling
• Optimizing value of personal time by pursuing private interests, maintaining non-work friendships, taking earned PTO and declining nonessential obligations
Presented by Thomson Reuters
The evolution of blockchain technology and the burgeoning cryptocurrency market are creating disruption for many financial institutions and regulators. And with that disruption comes challenges with identity linking and verification in the cryptosphere, as well as the acceptance of blockchain technologies for the field of risk management. This session will discuss:
• Dealing with identity and determining who people are in the cryptosphere.
• The implications from a regulatory standpoint, especially with regards to KYC/AML, terrorist financing, anonymous transactions, etc.
• Utilizing the blockchain for customer due diligence.
Presented by KPMG
• Integrating existing AML, sanctions, fraud surveillance and ABAC program under a unified financial crimes umbrella
• Outlining regulatory drivers encouraging consolidation of financial crimes risk management
• Detailing step-by-step roadmaps for attaining governance and compliance benefits of merging financial crimes oversight functions
• Outlining methods of independent monitor such as document reviews, site visits and management interviews to attain clear understanding of processes, roles and goals
• Creating communication protocols among institution, monitor, regulator and/or prosecutor to plan corrective actions, assess progress and keep monitorship on schedule
• Reviewing monitor recommendations to jointly develop implementation plan that satisfies original settlement agreement and bolsters compliance systems going forward
• Outlining blockchains’ shared ledger structure to identify opportunities for efficiencies in KYC, due diligence and other AML functions
• Assessing blockchain capacity for assisting robust compliance functions such as tracking beneficial ownership changes
• Analyzing the Ethereum virtual currency hack and Bitfinex breach to highlight blockchain financial crime vulnerabilities such as flawed code, anonymous actors and cryptographic key security
• Conducting a risk-based assessment on vendors including documentation of AML proficiency, cybersecurity and data management policies and potentially compromising third-party relationships
• Integrating vendor’s product and delivery channels with bank’s internal controls to achieve consistency in regards to internal controls, corporate governance and institutional risk appetite.
• Creating performance metrics to attain robust, comprehensive and properly documented vendor oversight and adjust systems or relationships as warranted to systemic needs of AML programs
• Reviewing typologies such as pass-through sites and online front companies to gain insights into main forms of transaction laundering
• Examining FinCEN and OCC enforcement actions and guidance to determine regulatory expectations for due diligence on third-party payment processors
• Working collaboratively with Independent Sales Organizations (ISOs) to strengthen merchant monitoring initiatives to flag and resolve suspected fraud cases